Railpen part-owned Constantine Energy Storage working with partners to deliver 285MW of UK battery storage

CES has appointed Habitat Energy to optimise three new assets near Birmingham, Manchester and Leeds. Each of these assets will be 57MW, 2.7 hour systems, representing 171MW of flexible capacity in total. CES has also partnered with EDF to optimise two assets in Cheshire and North Wales. Each of these will have a capacity of 57MW, representing a total of 114MW. This collaboration marks the first time CES has partnered with EDF. 

Renewables rely on the weather to generate electricity, which means they cannot adjust to demand as easily as other energy sources. As a result, BESSs, which use batteries to store electricity at times when supply is higher than demand, are fundamentally important in ensuring the UK can fully decarbonise its power system, a target the government has committed to meet by 2035.[1] Once optimised, CES’s BESS assets will therefore help to integrate more renewables into the UK’s energy system, balance electricity supply and demand, increase system resilience, and ultimately contribute to sustainable UK economic growth.

In 2022, Railpen and Alberta Investment Management Corporation (AIMCo) jointly took a 94% stake in CES. CES was founded in 2021 by Constantine Group to manage the construction and ownership of a portfolio of BESS assets. The company has an initial portfolio of over 1.6GWh of grid-scale battery storage UK-wide with 770MWh in construction.

Today’s announcement is the latest in a series of recent investments made by Railpen into UK renewables. In August of this year, Railpen announced a joint venture with GreenPower to develop the Barachander onshore wind project in North Argyll, and in June, Railpen acquired a 50% shareholding in renewable energy business AGR Power. These investments, coupled with Railpen’s existing portfolio of renewable assets, will help Railpen achieve its goal of providing stable long-term returns for members whilst having a positive impact on the environment.

Alena Antonava, Investment Manager at Railpen, commented: “As an early backer of Constantine Energy Storage and a long-term investor in UK renewables, we welcome the agreements established with EDF and Habitat Energy to optimise our battery storage platform. Identifying the right partners for these assets was an important step in ensuring they operate efficiently, enabling us to maximise returns for our scheme members, as well as supporting the UK’s energy transition. As a key stakeholder, we are pleased to see this progress, which aligns with our broader commitment to investing in sustainable infrastructure that contributes to a resilient and decarbonised power system.”

Mike Ryan, Commercial Director, Constantine Energy Storage Services, added: “Constantine Energy Storage is building a portfolio of battery energy storage systems across the UK. With some of the longest duration systems on the network and through our combination of scale, location and deliverability we aim to be at the forefront of the energy transition. We can only achieve this through working with expert partners such as Habitat Energy and EDF and with the support of backers including AIMCo and Railpen that share our ambition and whom we can trust.”

Jon Doughty, Managing Director UK, Habitat Energy stated: “We’re thrilled to have partnered with Constantine Energy Storage to bring three battery storage projects to market. Dealing with transmission-connected assets creates an additional level of complexity at both the onboarding and operations stage, but this is something Habitat is well-versed in. We look forward to maximising their performance as we continue to push towards a net zero energy future in the UK and globally.”

Stuart Fenner, Director of Wholesale Market Service Commercial, at EDF said: “We are delighted to be working with Constantine Energy Storage on these innovative battery projects. As first-time partners, we are excited to combine our market-leading optimisation expertise with Constantine’s forward-thinking approach to energy storage. The extended duration of these assets will provide crucial flexibility to the grid, and our Powershift platform will ensure they generate maximum value in all market conditions.”